During a period where venture funding has slowed down considerably for tech startups, companies are faced with tough decisions surrounding their equity and how to invest it. Pulley operates an equity management platform that works to help companies make smarter decisions and avoid costly missteps. Whereas newer startups are most susceptible to this situation, Pulley announced a free tier of its solution alongside a fresh round of capital.
Pulley secured $40 million in Series B funding led by Founders Fund. Existing investors Stripe and Elad Gil also participated in the raise.
Pulley’s digital solution provides management tools for a company’s capitalization table. This tool for tracking equity has traditionally been siloed in spreadsheets by legal teams, resulting in complexities in areas of a business where that equity gets allocated, according to the company. Pulley gives companies insights into their equity to enable strategic decisions around hiring and fundraising while meeting tax and compliance requirements.
“Equity is a company’s most valuable asset,” Yin Wu, Pulley’s co-founder and CEO, said in a statement. “We’re excited for Pulley to take a new approach to equity management. We help companies make better decisions about equity allocation before they get recorded on the cap table.”
For startups at the early stage of their business, Pulley works to guide founders to better decisions regarding fundraising. Since these newer companies tend to have less cash on-hand and a tougher time raising capital, Pulley launched Pulley Seed so these companies can get helpful insights for free.
Pulley currently serves 1,700 companies with stakeholders across 80 countries. For businesses at the growth stage, including Coda, Athelas and Bitwise, its platform works to support their equity programs as they scale.
Companies are able to offer stakeholders vast and various programs to create and retain wealth, from grants for employees to profit interest for limited liability companies. Pulley aims to make strategically navigating this space easier for businesses, so it’s expanding its product offering to encompass added tools for wealth creation.
As it does so, Pulley is investing its funding round in expanding its team. The company is currently hiring across departments such as product, engineering and design.
